Dr_Van_Nostrend
Sep 21, 5:02 PM
$ECC Starting
$ECC.PRD down here, it's too cheap.
ECC has been selling some CLO tranches and going into safer, higher grade investments. While that hurts short term and is crappy for older investors, especially in the common shares, the debt and preferred shares will be net / net much better on the other side.
I wouldn't touch common , it will get diluted, has multiple convertibles outstanding, and likely reverse split. But the preferred shares are money good. Very strict covenants / protections for return of capital, and when you look at the NAV of ECC which is starting to stabalize, NAV included bonds at par, and preferreds at PAR.
So you see how much cushion you have when you are sitting pretty in the preferreds. Monthly payments... and over 9.3% here currently. Strong buy for income seekers.
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